3 reasons why your automotive supply chain is at risk
- There are 3+ critical earthquakes each day
- There are 13 supplier insolvencies per hour—just in Germany
- Every 54 hours an automotive supplier is hit by a fire (affecting an average of 3+ riskmethods customers)
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Natural disasters, strikes, explosions, recalls and supplier insolvencies to name a few, have affected the automotive industry significantly in recent years. Cost reduction measures such as lean manufacturing and just-in-time delivery leave supply chains susceptible to the damaging effects when a supply disruption occurs, especially with the added challenge of demand fluctuation and volatility. Recent uncertainties regarding trade, border and import taxes have raised several questions for an industry which is globally integrated in production, supply chain component and finished goods movement.